Macon beacon. [volume] (Macon, Miss.) 1859-1995, 1887-12-10

General Eugene Powell, Onlted states bhhk
Examiner for the Southern District Of the
State OF Ohio, testified that he examined the
Fidelity bank March Il, 1885,, and found it in
good condition. The aggregate cash resources
were then N,SS6,OlS5o, mostly notes and dis
counts. Examined the bank again on June 20,
1851. Soon after my arrival in the bank Hsr'
per and Hopkins came in; Baldwin was already
there. / Informed Cashier Baldwin that | was
present for the purpose of looking into their ar
fairs, expecting to make an examination Gar-
per must have overheard me he was close ny,
and immediately came up and asked me TO step
aside a little from where Baldwin was.
/ did so. He asked me II l was going
to make an examination. I said yes
He told me he had written TO the department,
at Washington. stating that they had in some
business ventures met with some losses, and he
had Just received a reply 10 his letter, which he
said was very friendly. and which was to the
effect that they were justified in having time 10
recover from legitimate losses in business. He
showed me the letter stating that il ought to be
sufficient for me to pass examination He said
he would give me the letter as authority for
such passage, l looked the letter over and
told him in my opinian it was not sufficient,
and I felt bound 10 look further into their al
fairs. Then he asked ms 20 telegraph the
Comptroller, stating that the letter had been
INV " IA's dtiN AihhN a. '1 NtfN" - '
sufficient authority to grant them further
time. | told him ! could not do it, but that |
would consider any reply of instructions he
received: without positive orders TO the contrary
! proposed to make the examination. then
called for Il statement from Cashier Baldwin as
to the condition of the bank. BY that time
quite q number of the directors and other OH
GERS Of the bank had arrived, an a considerable
interchange Of views us to the situation was 60
ing on. Soon after that l was looking over the
books. I had the book of certificates Of deposit,
and noticed the last certificates of deposit that
had been taken Off. They were three in mum
Der. There was one for $4,000, and two
for S3l0.o1l, max ng 100000. The name of
T.. L.. Harper was signed on the stubs for the
amount, hut the date was not given, lcalled out
Briggs Swift, President OF the bank, and called
his attention TO the amounts on the stubs. He
looked at them carefully and said he had never
seen them before; that it was q surprise to him.
AtterwGrd ] called MI. Harpcr's attention to
them and asked for an explanation, he turned,
shrugged his shoulders, made me no reply and
walked eft. When l got the statement of the
banks condition ! asked what the item OF cash
consisted Of, and they made q statement as to
what ii was, II w.S evidences Of indebted
ness on the plrt OF Wiltshire, Eckert & Co, +,
L.. Harper & Co., Swiit's Iron and Steel Works
and ]. W. Wiltshire & Co, the aggregate of
which was something over Sl,01J,00. As 1t
wasn't cash, il cut down the resources Of the
bank just TO th1t extent. As Il result of my In
yostialtion ! notified the board OF directors as
sCmbled, among whom was Harper, that, in my
opinion. so much Of their resources had been
wasted | considered their bank insolyent, and
felt it my duty At the close OF business that day
June -. 10 take possession OF the bank. At the
close OF business [ accordingly took charge of
the keys OF the safe.
Briggs Swift, President Of the Fidelity Bank,
sworn. In his testimony the witness said that
he did not know that Il certificate of deposit for
$4,000 had been issued and forwarded TO the
Chemical Bank OF New York and y loan thereon
obtained; neither did he know that $4,000 Of
the bills discounted of the bank had been for.
wardcd to the First National Bank Of New
York. Did not know that Harper was running
the wheat deal until lately; he told me he was
not. l asked him if he was buying wheat; he
always said he was not. | told him it vas ru'
morcd that he was, but he always contra
dictcd It.
CINCINNATI, Dec. 3.-The trial to-day was not.
able for the number OF prominent citizens who
took the witness stand fora very brief period.
Briggs witt was in the box for about five min
utcs. but added nothing new to his previous
statements. He was a tritie nervous and shift
ed about u~neasily. Mr.. WIN. II. Chattield told
what he knew In exactly two minutes. The
court did not deem the question of sufficient
Importance to be considered, and Mr. Sol. p.
kineon followed Mr.. Chattield. TO be served In
the same way. He had hardly planted
himself cooly in the spacious chair
and placed his arms on each
side Of the railing in q comfortable manner
when he was informed. THAT will do, Mr..
Kincon." TO the surprise of every body Mr..
D. Itpp.r, ~ nat, ug1.a1 Univ lp 1pft thp IirGptorV
Of the Fidelity Bank. EX.Mayor Means was
called to testify to his appraisemeut of the
Riverside mills, but he vas smarter than the
lawyers, and he smilingly departed. Hon.
Richard Smith was also Il witness.
The appearance Of A.. p. Gahr, the boy director
and proteFe of Harper, MS u witness for the
Government, excited interest. The young
man had TO tell the truth, and some OF
his testimony was very damaging to his
old friend and patron. During his
testimony Gahr never once looked
at Harper, but the prisoner kept his
eyes intently fixed upon the young man. While
District Attorney Burnet and his assistant
Bruce and Special Counsel Hooper are doing
themselves credit in the conduct Of the trial,
the case has been so minutely and carefully
worked up that it could almost take care Of
itself. AT one o'clock. after an arduOus week,
Judge jackson adjourned court until Monday
morning. The jury are having a good time.
This afternoon, a half dozen of them,
in charge of Deputy Marshal Kiersted, were
shown around the city. They visited the prin-
cipal places OF interest, and returned in time
for supper.
C"ISCISNATI, Dec. 5.-Discount Clerk Vowel
took the stand TO state that he had made mcmor-
andurns in his books ofthc Sl,OSO,pJ bills receiv-
able of the bank sent to the Chemical National
Bank as collateral, and that to his knowledge
no entries of the transaction had been made on
the general books Of the bank, In listing the
notes he had registered each one Of them in or
der that he might identity them. He received
no special instruction from Harperto this effect.
j. Harry Walters, expert, recalled, and iden.
titled a draft signed By Hlrper, dated May 81,
drawn on the Chemical Sank for A.l33.S3 paya-
be to the order Of Western National Bank Of
New York; there was an account with that
bank but there was no entry made Of this draft.
Witness was in the Fidelity Bank March II
wlel the Bank Examiner made his cxaminn-
ton. Al addition was made 10 the funds OF
bank by borrowing 500 o. from the Metropoli-
tan National Bank Of Cincinnati; witness
thought 1t was borrowed by Harper; saw the
money in a package on his desk. | took the
money back on the afternoon Of the 18th. This
money was shown to the Bank Examiner as
part OF the funds Of the Fidelity. Mr., Walters
then testified as TO the condition OF the bank on
the day Of It's suspension. The liabilities OF
the Fidelity National Bank June -, lsS1, We're,
as Sh0Wa By he boOks Of HE bank, l.gj3, $50 %;
total liabilities Of the bank, S,3S),S15.'l AS